Gaming Partners International Corporation Reports 2010 Fourth-Quarter and Year Results

LAS VEGAS, March 29, 2011 /PRNewswire/ -- Gaming Partners International Corporation (Nasdaq: GPIC), a leading worldwide provider of casino currency and table gaming equipment, today announced financial results for the fourth quarter and year ending December 31, 2010.

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For its fourth quarter of 2010, the Company posted revenues of $16.6 million and net income of $1.0 million, or $0.12 per basic and diluted share. These results compare to revenues of $15.8 million and net income of $1.7 million, or $0.21 per basic and diluted share, for the fourth quarter of 2009. Gross profit for the quarter was $5.4 million, or 32% of revenues, compared to $5.7 million, or 36% of revenues, in the prior year period.

For the year 2010, the Company recorded revenues of $59.9 million and net income of $4.4 million, or $0.54 per basic and $0.53 per diluted share. These results compare to revenues of $49.5 million and net income of $1.0 million, or $0.13 per basic and diluted share for the year 2009. The Company's 2010 gross profit was $21.7 million, or 36% of revenues, compared to $15.9 million, or 32% of revenues, in 2009.

The primary reasons for the increase in net income in 2010 were a significant increase in gross profit that was driven by higher sales, which caused fixed manufacturing costs to be allocated over higher production volumes, a sales mix shift toward higher-margin chips, and a $1.6 million charge for impairment of goodwill that reduced net income in 2009.

In December, the Company paid a cash dividend of $1.5 million, or $0.1825 per share, and ended 2010 with $29.8 million in cash, cash equivalents and marketable securities, as well as $6.7 million in debt.

"A significant contributor to our increased sales in 2010 was sales from casino openings in Pennsylvania, Delaware and Singapore," commented Greg Gronau, GPIC President and Chief Executive Officer.  "This helped us end 2010 with a very strong cash position and focuses us for potential future growth."

About Gaming Partners International Corporation (GPIC)

GPIC manufactures and supplies casino table games and equipment to licensed casinos worldwide. Under the brand names of Paulson®, Bud Jones®, and Bourgogne et Grasset®, GPIC provides casino currency such as chips, plaques and jetons; casino tables, furniture and accessories; table layouts; playing cards; precision dice;  roulette wheels; and RFID technology and applications.  Headquartered in Las Vegas, Nevada, GPIC has additional locations in Beaune, France; San Luis Rio Colorado, Mexico; Atlantic City, New Jersey, Gulfport, Mississippi, and Macau SAR China.  For additional information, please visit www.gpigaming.com.

Safe Harbor Statement

This release contains "forward-looking statements" based on current expectations involving known and unknown risks and uncertainties, such as statements relating to anticipated future sales or the timing thereof; the long-term growth and prospects of our business or any jurisdiction; the duration or effects of unfavorable economic conditions which may reduce our product sales; and the long term potential of the RFID gaming chips market and the ability of GPIC to capitalize on any such growth opportunities. Actual results or achievements may be materially different from those expressed or implied. GPIC's plans and objectives are based on assumptions involving judgments with respect to future economic, competitive and market conditions, the timing and its ability to consummate acquisitions, and future business decisions and other risks and uncertainties identified in Part I-Item 1A, "Risk Factors" of the Company's Annual Report on Form 10-K for the period ended December 31, 2010, all of which are difficult or impossible to predict accurately and many of which are beyond its control. Therefore, there can be no assurance that any forward-looking statement will prove to be accurate.

SOURCE Gaming Partners International Corporation